Small business digital tax offset 2022

Doctor Digital, what does the budget announcement about digital device and training deductions mean for my small business?

Doctor Digital Says


The recent 2022 budget had some great digital incentives for small businesses to help more people to access the digital economy efficiently and safely. Small business owners will receive up to $1 billion in tax breaks for digital spending through this budget, so time to check your eligibility and see if your business can benefit.

The Commonwealth Government will allow eligible businesses to deduct $120 for every $100 they spend on services that support their digital capability, which could include spending on digital skills training, cloud computing or portable payment devices.

Web design is also included, so if your website is over 3 years old, it is definitely time to check that your SEO is up to date and that you are maximising your interactions with customers across all devices.

An annual cap will apply in each qualifying income year so that expenditure up to $100,000 will be eligible for the boost.

The boost for eligible expenditure incurred by 30 June 2022 will be claimed in tax returns for the following income year. The boost for eligible expenditure incurred between 1 July 2022 and 30 June 2023 will be included in the income year in which the expenditure is incurred.

If you've been thinking about an upgrade for your system or some training for you and your team, perhaps now is the right time to strike. Our digital-ready coaches can discuss your needs with you, and update you on areas where you can improve your digital engagement.

Of course check with your accountant before you make any purchases to check they do fall into the eligible category.


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